The sun. [volume] (Morris, Stevens County, Minn.) 1882-1895, 1887-12-08
President Cleveland's Annual Essay
to Congress Happily and Unex-
pectedly Brief
No Topic Is Discussed Aside from the
Question of the
Tariff.
Reduction of the Treasury Surplus
Urged with All the Force Of
Earnest Argument.
The Removal or Material uessenins
Of the Duty on Wool Is Recon-
mended.
Congress Referred to the Department
Reports for an Account of Gov
eminent Operations.

Reports for an Account of Gov
eminent Operations.
PRESENTED BY GROVER.
The President's Message Devoted Exclu-
sively 10 tho Tariff Question-A Reduction
of the Surplus Urgently Urged 80
To the Congress of the United States: You
are confronted at the threshold Of your leg
isiative duties with q condition of the ma
tional finances which imperatively demands
immediate and careful consideration. The
amount of money annually exacted, through
the operation of present laws, from the in
dustries and necessities of the people largely
exceeds the sum necessary to meet the ex-
penses of the government When we con-
slider that the theory of our institutions
guarantee to every citizen the full enjoy
ment of all the fruits of his industry and en-
terprise, with only such deduction as may
be his share towards the careful and econom-
ical maintenance of the government which
protects him. it is plain that the exaction of
more than this is indefensible extortion and
a culpable betrayal of American fairness and
JtSeASC AUS WAOuS AAAlOVCA upOA UAOoO
who bear the burden Of national taxation,
like other wrongs. multiplies brood of evil
consequences The public treasury, which
should only exist as conduit con-
veying the peoples tribute to its le-
gitimate objects OF expenditure, be-
comes q boarding place for money need
lessly withdrawn from trade and the peo-
PIES use, thus Gripping our national ener-
gies, suspending our countrv's develop
ment, preventing investment in productive
enterprise, threatening financial disturb
ance and inviting schemes of public plumber
This condition of our treasury is not al to-
gether new; and it has more than once of
late been submitted to the peoples repre-
sentatives in the congress, who alone can
apply q remedy And vet the situation still
continues, with aggravated incidents, more
than ever presaging financial eonvulsion
and widespread disaster. It will not do to
neglect this situation because its dangers are
not now palpably imminent and apparent
They exist none the less certainly, and await
the unforeseen and unexpected occasion,
when suddenly they will be precipitated
upon us On June 80, 1885, the excess of
revenues over public expenditures after
complying with the annual requirement Of
the sinking fund act, was $17 1897 1;
during the year ended June 80. 1886, such
excess amounted to $49, 4O5, $500; and
during the year ended June 80, 1887, it
reached sos, 567 ,S49. 80. The annual con-
tributiOnS to
THE SINKING FUND
during the three years above specified,
amounting in the aggregate to $685.
O5S,3 2O94, and deducted from the
sr1~v Nlrr1 cfnf nd Nn6@ 6rv
calling in for that purpose out
standing per cent bonds of the govern
ment During the six months prior to June
80. 1887, the surplus revenue had grown so
large by repeated accumulations, and it was
feared the withdrawal Of this great sum of
money needed by the people would SO affect
the business Of the country, that $40, S64,-
100 of such surplus was applied to the pay
ment of the principal and interest Of the
per cent bonds still outstanding, and which
were then payable at the option of the gov
ernment The precarious condition of
financial affairs among the people still need
ing relief, Immediately after June 80, 1887,
the remainder Of the 3 per cent bonds then
outstanding amounting with principal and
interest to $18.S77, 900 was called in and
applied to the sinking fund contribution for
the current fiscal year. Notwithstanding
these operations of the treasury department.,
representations of distress in business cir
cles not only continued but increased, and
absolute peril seemed at hand In these cir
cumstances the contribution to the sinking
fund for the current fiscal year was at once
completed by the expenditure OF $27, 6S4,-
283. So in the purchase of government bonds
not yet due bearing 4 and 4 q per cent inter-
est, the premium paid thereon averaging
about "a per cent for the former and
per cent for the latter. In addition
to this the interest accruing during
the current year upon the outstanding bond
nd ind of fhn On
some extent anticipated, and banks selected
as repositories Of public money were per-
mitted to somewhat increase their deposits
While the expedients thus employed to re-
lease to the people the money lying idle in
the treasury served to avert immediate dan
ger, our surplus revenues have continued to
accumulate, the excess for the present year
amounting on Dec. to sos. 258, FOL 10,
and estimated to reach $113, OOO, 600 on
June 80 next, at which date it is expected
that this sum, added to prior Accommodations,
will swell the surplus in the treasury to
100000, OOO There seems to be no assur-
ance that. with Auch {: withdrawal from use
of the peoples circulating medium, our
business community may not in the near fu-
ture be subjected to the same distress which
was quite lately produced from the same
cause. And while the functions of our ma
and while its best condition would be
reached believe, by its entire d1sconnec-
ton with private business interests. vet.
when by perversion Of its purposes, it idly
holds
MONEY UsELEsSLY sUBTRACTED
from the channels Of trade, there seems to
be reason for the claim that some legitimate
government to restore in an emer-
gency, without waste or extravagance,
such money to it's place among the people,
Ii such an emergency arises there now ex-
lists no clear and undOubted executive power
of relief. Heretofore the redemption Of 8
per cent bonds, which were payable at the
option OF the government, has afforded q
means for the disbursement of the excess of
our revenues; but these bonds have oil been
retired, and there are no bonds outstanding
the payment of which we have the right to
insist upon. The contribution to the sinking
penditure in the purchase of bonds has
already been made for the current year, SO
that there is no outlet in that direction. In
the present etate Of legislation the only pre-
tense Of any existing legislative power to
restore. at this time, any part Of our surplus
consists in the supposition that the secretary
Of tie treasury may enter the market ana
purchase the bonds OF the government not
yet due at rate OF premium to be agreed
upon. The only provision of law from " 1ich
such power could be derived il found IN IN
vPP1VPAA0tAOA JILL pCsoSCA u AOAuUC1 VI ySs0k0
ago; and it Is subject to the suspicion
that It was intended as temporary and
limited in its application, instead of con-
ferring o continued discretion ed author
ity. No condition ought to exist which
would Justify the grant Of power to q single
official, upon his Judgment Of its necessity,
to withhold from or release to the business
of the people. in an unusual manner, money
held In the treasury, and thus affect, at his
VIII the financial situation of the country;
and II it Ii deemed wise to lodge In the sec
rotary Of the treasury the authority in the
present juncture to purchase bonds, 1t
should be plainly vested ami provided as far
as possible with such checks and limitations
as will define this officials right and discre-
ton, and at the same time relieve him from
undue responsibility. In considering the
question Of purchasing bonds as . means Of
restoring to circulation the surplus money
accommodating in the treasury. Il should be
borne in mind that premiums must of course
be paid upon such purchase. that there may
be large part OF these bonds held AZ invest